White Coat Investor Podcast WCI #414: Roth IRAs and 401(k)s
Apr 10, 2025
Explore the differences between Roth and Traditional IRAs and how they can benefit your kids. Learn about the essential considerations when switching your business 401(k) plan administrator. Get tips on what to do if you accidentally over-contribute to your 401(k). Discover financial wisdom from basketball players on managing high incomes and the importance of living within your means. Plus, delve into how kids can become entrepreneurs and the tax responsibilities that come with it.
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Live Like a Resident
- Live like a resident even after residency.
- Don't increase your lifestyle for at least a year post-residency to build wealth.
Roth vs. Traditional
- Consider Roth accounts if you have no debt and anticipate higher tax brackets in retirement.
- Evaluate the trade-offs between Roth and traditional accounts based on current vs. future tax rates.
Child Roth IRA
- Kids can contribute earned income to Roth IRAs.
- Treat them like real employees with proper paperwork and fair pay.